Analyzing Tantech (NASDAQ:TANH) & Johnson Matthey (OTCMKTS:JMPLY)

Tantech (NASDAQ:TANH) and Johnson Matthey (OTCMKTS:JMPLY) are both basic materials companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, valuation, analyst recommendations, institutional ownership, profitability and dividends.

Analyst Ratings

This is a summary of current recommendations and price targets for Tantech and Johnson Matthey, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tantech	1	0	0	0	1.00
Johnson Matthey	1	2	1	2	2.67

Institutional & Insider Ownership

6.0% of Tantech shares are owned by institutional investors. 3.8% of Tantech shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Tantech and Johnson Matthey”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tantech	$38.36 million	0.09	-$31.02 million	N/A	N/A
Johnson Matthey	$16.85 billion	0.29	-$128.69 million	N/A	N/A

Tantech has higher earnings, but lower revenue than Johnson Matthey.

Profitability

This table compares Tantech and Johnson Matthey’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tantech	N/A	N/A	N/A
Johnson Matthey	N/A	N/A	N/A

Volatility and Risk

Tantech has a beta of 0.61, suggesting that its share price is 39% less volatile than the S&P 500. Comparatively, Johnson Matthey has a beta of 1.14, suggesting that its share price is 14% more volatile than the S&P 500.

Summary

Johnson Matthey beats Tantech on 6 of the 9 factors compared between the two stocks.

About Tantech

Tantech Holdings Ltd, together with its subsidiaries, develops and manufactures bamboo-based charcoal products for industrial energy, household cooking, heating, purification, agricultural, and cleaning applications in the People's Republic of China and internationally. The company operates in three segments: Consumer Products, Electric Vehicles, and Biodegradable Packaging. It provides pressed and formed charcoal briquettes for use in grills, incense burners, and other applications under the Algold brand. The company also offers Charcoal Doctor branded products, such as air purifiers and humidifiers, automotive accessories for air purification, underfloor humidity control products, pillows and mattresses, wardrobe deodorizers, mouse pads and wrist mats, refrigerator deodorants, charcoal toilet cleaner disks, liquid charcoal cleaners, shoe insoles, and decorative charcoal gifts. In addition, it provides bamboo vinegar, a liquid byproduct for use in disinfectants, detergents, lotions, specialized soaps, toilet cleaners, and fertilizers, as well as in various agricultural applications; and trades in charcoal products. Further, the company develops and sells electric buses, electric logistics cars, and specialty electric vehicles, such as brushless cleaning cars, electric cleaning cars, special emergency vehicles, and funeral cars; and solar cells, lithium-ion batteries, auto parts, and electric control systems. It is also involved in the biodegradable packaging and supply chain businesses, as well as provides commercial factoring services. The company was founded in 1998 and is headquartered in Lishui, the People's Republic of China.

About Johnson Matthey

Johnson Matthey is a global leader in science that enables a cleaner and healthier world. With over 200 years of sustained commitment to innovation and technological breakthroughs, they improve the function, performance and safety of their customers’ products. Their science has a global impact in areas such as low emission transport, pharmaceuticals, chemical processing and making the most efficient use of the planet’s natural resources. Today more than 13,000 Johnson Matthey professionals collaborate with their network of customers and partners to make a real difference to the world around us.